The Theoretical Analysis of Labor Factor Supply under the X - efficiency

The Theoretical Analysis of Labor Factor Supply under the X - efficiency


Author:Liu Haiying Journal:Productivity Research  Date:2006(11)

Keywords X-efficiency; Selective rationality; Inert region; factor supply

Abstract

Personal effort is also an input, and the degree of effort depends on the external environment and personal satisfaction. This will inevitably lead to the random degree of personal effort. The degree of effort chosen by most people in an organizational environment constitutes an inert region of an organization. The unconditional utility maximization pursued by "economic man" is only an extreme. Under the X-efficiency theory, the opposite number of the marginal revenue of the self-use resource is no longer equal to the labor factor price W, but equal to α * W (0


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